India: HZL raises zinc prices by INR 5,900/t, lead by INR 500/t

• Tight domestic supply, declining LME inventories lift prices
• HZL’s SHG priced INR 1,600/t higher than domestic spot levels

Hindustan Zinc Ltd (HZL) on 13 July 2026 increased zinc ingot prices by INR 5,900/t ($69/t) and lead ingot prices by INR 500/t ($6/t) compared with its previous revision announced on 10 July.

Following the latest revision, HZL’s benchmark Special High Grade (SHG) zinc ingot prices were raised to INR 385,600/t ($4,505/t), while lead ingot prices increased to INR 211,700/t ($2,474/t).

On the London Metal Exchange (LME), zinc prices were trading at $3,584/t, down 0.74%, while lead prices stood at $1,880/t, down 0.87% as of 11:15 AM IST. The decline reflected weaker global base metals sentiment amid broader macroeconomic uncertainty, although domestic market fundamentals remained supportive.

According to BigMint’s latest assessment, SHG zinc ingot prices were assessed at INR 384,000/t ex-Delhi on 10 July. Following today’s revision, HZL’s benchmark SHG zinc prices stand at INR 385,600/t, approximately INR 1,600/t above the latest assessed domestic spot market level, indicating the producer’s confidence in strengthening domestic market conditions.

Market participants indicated that domestic zinc availability remains relatively tight, with fresh import arrivals continuing to be limited and physical supplies closely balanced against demand. Traders noted that HZL’s benchmark revisions continue to serve as the primary reference for pricing decisions across the domestic market, while consumers remain cautious and largely procure material on a need-based basis amid elevated prices.

Fundamentally, the zinc market continues to derive support from tightening supply-side conditions. LME zinc inventories have declined steadily over the past week, reflecting reduced exchange availability and improving physical market sentiment. At the same time, constrained import inflows and stable demand from galvanising and die-casting industries have helped underpin domestic prices despite weakness in international futures.

HZL’s operational performance has also remained supportive of the domestic market. The company recently reported its highest-ever quarterly refined metal production during Q4FY’26, driven by debottlenecking projects at its Chanderiya and Dariba smelters, improved operational efficiency and higher plant availability, reinforcing confidence in its long-term production capabilities.

Overall, domestic zinc prices are expected to remain supported by constrained supply, declining exchange inventories and steady demand from downstream sectors. However, volatility in global base metal markets, movements in the US dollar and broader macroeconomic developments may continue to influence short-term price movements, prompting consumers to maintain a cautious procurement strategy.